Leading media and entertainment company NBCUniversal, a subsidiary of Comcast (NASDAQ:CMCSA), is exploring the possibility of securing broadcasting rights for National Basketball Association (NBA) games, the Wall Street Journal reported. NBCUniversal plans to pay around $2.5 billion annually to air a package of NBA games.
This comes after Warner Bros. Discovery (NASDAQ:WBD), a longstanding NBA partner, failed to secure a new deal. Nonetheless, Warner’s TNT has the option to match rival offers. However, exercising this option would come at a substantially higher cost, considering the average fee of its existing NBA deal, which stands at $1.2 billion.
Here’s Why Sports Rights Matter for NBC
Securing sports rights is important for NBC and other media and streaming companies, as it will help them retain subscribers in the face of challenges from cord-cutting and a shrinking advertising market. This is why they are…
